General Electric Company (NYSE:GE) announced it will be joining with the MIT Energy Initiative (MITEI) to fund advanced technology solutions to help transform global energy systems. As a Sustaining Member of MITEI, GE will commit a total of $7.5 million over a five-year period ($1.5 million annually) and play an active role in MITEI’s research and project priorities. Specifically, GE will participate in four of MITEI’s Low-Carbon Energy Centers to advance research and development (R&D) in key technology areas for meeting future energy needs: solar energy; energy storage; electric power systems; and carbon capture, utilization and storage.
“The world will need 50 percent more power in the next 20 years,” said Steve Bolze, president & CEO of GE Power. “GE and MITEI are proud to be working together to find new solutions to develop cleaner, more affordable and accessible energy solutions that will address this need. Together we will leverage our collective capabilities, research and technology solutions to help improve efficiency while reducing the impact of electricity generation on the environment.”
GE will participate in supporting MIT faculty and student research through MITEI. Several GE customers are also members working with the initiative, including EDF, Exelon Corporation and Duke Energy. MITEI will also bring GE and other members together to connect innovation, business and policy to transform the energy industry. GE strives to be the world’s premier digital industrial company and is committed to working with the best and brightest minds to further unleash the power of digital solutions.
MITEI’s relationship with GE will engage and involve all of GE’s energy-related businesses: GE Power, GE Renewable Energy, GE Oil & Gas, GE Energy Connections, GE’s Global Research Center, GE Global Growth & Operations, GE Ventures, and Current, powered by GE. Among the many benefits of the membership, GE will sponsor research programs at MITEI, contribute to MITEI’s Seed Fund to support novel and early-stage energy research proposals and participate in several conferences and learning opportunities each year.
“GE’s support as a Sustaining Member and engagement in MITEI’s Low-Carbon Energy Centers will be extremely valuable in spurring further technology advancements to address complex energy and climate challenges—areas where GE’s wealth of expertise and history of developing solutions dovetail with MIT’s research,” said Robert Armstrong, director of MITEI. “We are excited to welcome GE and launch this relationship.”
MITEI’s Low-Carbon Energy Centers, announced last fall as a key component of MIT’s Plan for Action on Climate Change, represent a major part of MIT’s commitment to address climate change through engagement with industry, government and the philanthropic community.
GE moved its global headquarters to Boston last week, moving into an interim space as it works to develop and build its new global headquarters campus in Boston’s Fort Point neighborhood in 2018. Today’s announcement continues GE’s investment and engagement in the Boston area. GE selected Boston because of its innovation, talent and infrastructure, as well as the strong ecosystem of companies, universities, start-ups and R&D resources the city hosts. The move to Boston will further strengthen GE’s focus to become the world’s premier digital industrial company. (Original Source)
Shares of General Electric closed yesterday at $31.36, up $0.13 or 0.42%. GE has a 1-year high of $33 and a 1-year low of $23.68. The stock’s 50-day moving average is $31.70 and its 200-day moving average is $30.54.
On the ratings front, GE has been the subject of a number of recent research reports. In a report issued on August 18, Credit Suisse analyst Julian Mitchell reiterated a Buy rating on GE, with a price target of $34, which implies an upside of 8.4% from current levels. Separately, on August 9, UBS’s Shannon O’Callaghan reiterated a Buy rating on the stoc.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Julian Mitchell and Shannon O’Callaghan have a total average return of 8.4% and 13.0% respectively. Mitchell has a success rate of 74.5% and is ranked #338 out of 4129 analysts, while O’Callaghan has a success rate of 74.5% and is ranked #88.
Overall, 2 research analysts have rated the stock with a Sell rating, 5 research analysts have assigned a Hold rating and 7 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $31.14 which is -0.7% under where the stock closed yesterday.